Government deficits and global savings Many analysts worry that financing of national government deficits requires a continual flow of global savings (in the case of the United States, especially Chinese savings to finance the persistent US government deficit); presumably, if these prove insufficient, it is believed, government would have to “print money” to finance its deficits, which is supposed to cause inflation. Worse, at some point in the future, government will find that it cannot service all the debt it has issued so that it will be forced to default.
